Company Profile: Tri Star Plastic Inc.

Topics: Manufacturing, Industry, Inventory Pages: 9 (2229 words) Published: September 26, 2013
I. BACKGROUND OF THE STUDY

Profile of the Company

Tri Star Plastic, Incorporated, is the leading plastic packaging manufacturing company located in Binugao Toril, Davao City. This company is a family owned corporation with ___incorporators of _________ families all locals of Toril. It was established in October 29, 2003 and operations commence in January 31, 2004.

Tri Star Plastic, Inc. specializes in manufacturing of plastic packaging products such as shopping bags for groceries and department stores, garbage bags, plastic products for advertising, courier bags used for delivery of documents, plastic rolls and sheets for industrial and agricultural use.

Some of their well known and loyal customers are Sumifru, Dole Philippines, Patok sa Manok, Natasha, Nike and many more.

Existing Practices

Tri Star Plastic, Inc. adopts the make-to-order process, hence, basic raw materials are provided by their customers. In make-to-order production, a product is produced specifically for their specific customer sales order. Orders are taken as they come. In production procedure, each product is only produced once, although over time the same or similar production processes are repeated. Each product is specifically produced for an individual customer so that the finished product is rarely placed in stock. Only a minimal percentage of their production covered raw materials pass a manufacturing company process that converts its raw materials to finish products.

Activities leading to the Problem
a) Process Design
Tri Star Inc. practices make-to-order process. Thus, customers supply the main raw materials such as Poly Propylene (resin). In effect, inventory for raw materials is kept to a minimum level. However, production depends solely on the provision of the customer’s raw materials. Eventually, production is deferred whenever shipments of raw materials are delayed or wrong materials were shipped.

b) Facility Layout
Tri Star Plastic, Inc., has overwhelming and large scale manufacturing machineries and equipments. Physical arrangement plays a vital role in the smooth process of production from the preparation, to the manufacturing and lastly to the finished products. The company’s facility layout is not well-outlined and not properly arranged causing enormous waste of time just transporting raw materials from one procedure to another. The production time is highly significant which eventually leads to high labor cost.

c) Capacity Design
The company’s manufacturing machineries and equipments caters a large scale of production. The company accommodates approximately 300kgs production output per machine in the extrusion part of the process. In the printing area, has an average of 500kgs of supplies in 24 hours of production. Lastly, the printing process can produce print out of 100,000 pieces per set from the three cutter sealer.

d) Job Design and Work Measurements
The company employs unsteady number of workers since the company adopts a make-to-order production. Additional workers are hired depending on the volume of sales order. Also, the company experiences seasonal production wherein there is slack in production for the months of October to December. In this period workers are not actually laid off, rather are placed in reserve for the upcoming production. The company adopts the specialized labor. This poses some problems and delays in the production whenever absences in the personnel because new training and coaching were made to new workers.

Tri Star Inc. has an estimated net operating time 550 minutes per personnel: 12hour day work720
Less: breaktime90
Clean-up 20
Set-up 30
Personal time 30
550minutes

e) Statistical process and Quality design
The quality design of the company is basically set by the customers. They have international customers which impose very specific packaging details. A slight production miss in the design or...
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